China: Iron ore futures continue to fall on oversupply worries

Iron ore futures on China’s Dalian Commodity Exchange (DCE) fell 2.2% d-o-d as rising supplies from major miners countered firm demand at China’s steel mills. Steel futures on the Shanghai Futures Exchange (SHFE) dropped further by 3%. Closing prices of the most-traded iron ore and steel futures contracts on 16 Jul’21 are:

• DCE iron ore futures Sep’21 contract closed at RMB 1,197.5/t ($187) (-RMB 28)
• SGX iron ore futures Jul’21 contract closed at $204.35 (-5.65)
• SHFE rebar futures Oct’21 contract closed at RMB 5,014/t ($784) (-RMB 154)
• SHFE HRC futures Oct’21 contract closed at RMB 5,280/t ($825) (-RMB 156)